To get your signature notarized, take your driver’s license or state identification card to a bank and fill out Form PD F 4000. Sign Form PD F 4000 in front of the certifying officer, who will sign and stamp it.
What is the procedure for changing the owner of my savings bonds?
The name of a single owner or two co-owners will be printed on a US savings bond. The savings bond can only be cashed by a listed owner. To change the owner of a savings bond, a reissue request must be made to the US Treasury together with the bond.
What is the procedure for adding a beneficiary to a savings bond?
You must register ownership of the securities in “beneficiary” form in order to do so. Simply put, you register ownership in your name, followed by the phrases “payable on death to” and the beneficiary’s name. A person, not an entity, must be the recipient. Parts 315.6 and 353.6 of the 31 C.F.R.) You must state if the beneficiary is a minor, for example, “payable on death to Jasmine Martin, a juvenile.” Ownership will be transferred to the person you named after your death.
You’ll have complete control over these assets, just as you do with corporate securities. To sell or give away the securities, you don’t need the beneficiary’s permission, and you can name a new beneficiary at any moment by filling out new ownership documentation.
There can only be one principal owner and one payable-on-death beneficiary, which is a significant limitation when adding a payable-on-death beneficiary. If the securities are co-owned by two or more peoplefor example, you and your spouseyou can’t specify a payable-on-death beneficiary. In that case, the best you can do is create a right of survivorship, so that when the first co-owner dies, the remaining co-owner receives the securities. The survivor could then designate a beneficiary.
What is the procedure for changing the beneficiary on a paper I bond?
Sometimes. Normally, taxable ownership changes are not authorized for paper I bonds. Write to Treasury Retail Securities Services, PO Box 214, Minneapolis, MN 55480-0214, or call 844-284-2676 if you want to modify who owns an I bond and find out what changes are allowed (toll free).
If an ownership change is permitted, such as as a result of a divorce, and the change is taxable, we issue an IRS Form 1099-INT.
Is it possible to transfer a savings bond to another person?
Yes. The owner of EE and I Bonds can transfer them to another person with a TreasuryDirect account; however, you must wait five business days from the purchase date to do so.
A savings bond can be transferred to another TreasuryDirect account in whole or in part. See What is the procedure for transferring savings bonds from one TreasuryDirect account to another?
What happens if I transfer savings bonds to another TreasuryDirect customer? Will the recipient’s purchasing limit be affected?
When you transfer savings bonds to another customer, the value of the transfer is deducted from the yearly purchase limit for each savings bond type for the year in which the transfer happens.
Is it possible to move marketable securities from one TreasuryDirect account to another or to a broker/dealer account?
Yes. Marketable Securities can be transferred in $100 increments. You can send a portion or the entire value of a single investment or a group of securities to a single recipient or financial institution. See What is the procedure for transferring marketable securities from my TreasuryDirect account?
No, you must transfer marketable securities from your TreasuryDirect account to a broker/dealer account in order to sell them.
The securities can be sold by the broker/dealer on your behalf.
Is it possible to transfer marketable securities from a non-TreasuryDirect account to my TreasuryDirect account?
Yes. You can contact your broker to have marketable securities from another account transferred as an Incoming External Transfer to your TreasuryDirect account. Customer Service will handle your request and add issued securities to your Current Holdings. For maturity and interest payments, incoming transfers are issued with your primary bank information as the payment destination (if applicable). For specific instructions, see Learn More About Transfers.
Is it possible to transfer marketable securities from my old TreasuryDirect account to my new TreasuryDirect account?
Yes. Complete a Security Move Request, FS Form 5179, to transfer assets from Legacy Treasury Direct to your TreasuryDirect account. Incoming transfers are deposited into your TreasuryDirect account’s Current Holdings.
What happens if I transfer a marketable security that was initially slated for deposit in my C of I before it matures?
Any purchases you have scheduled utilizing Zero-Percent C of I as the source of funds may be impacted if you elect to transfer a marketable security prior to maturity. If funds are inadequate to cover the purchase request, the purchases may be canceled.
What if the form of registration for transferring marketable securities from an outside broker to my TreasuryDirect account is invalid?
We shall refuse any inbound security transfer request that has an invalid form of registration.
What if the marketable security I want to move in from another outside account is registered with the words “OR,” “AND,” or “With Right of Survivorship”?
Regardless of the method of registration prior to the transfer, a security transferred from an outside account into a TreasuryDirect account will be transferred in the name of the individual account owner in single owner form. The registration can be changed to any allowable registration after the transfer is accomplished.
How can I cash a savings bond that belongs to someone else?
If you merely want to cash in a bond that you planned to give as a gift to someone else, contact your local Federal Reserve Bank or branch and get the “Request for Refund of Purchase” form. You will be entitled to a refund of the amount you paid for the bond, plus any accumulated interest, if you complete it and follow the other instructions. The Southern California office is located at 950 S. Grand Ave., Los Angeles, CA 90015.
Q: I’d like to purchase large-denomination US Treasury notes with three other investors. My broker, on the other hand, claims that he can only take one taxpayer identification number on the purchase. If there is only one tax ID number, how can we all handle our various tax duties for the interest these notes pay? Also, how do I contact the Association of Individual Investors? James C.
A: To answer your first question, there are two rather simple options. The simplest option is to form an investing partnership with the four of you and use the partnership’s taxpayer identification number to make purchases. The partnership’s terms will specify how the stake will be split. On their own tax returns, the four investors should disclose their individual shares of the interest payments.
Are there any recipients of US savings bonds?
Savings bonds are frequently registered in beneficiary form, meaning the owner designated a payable-on-death beneficiary to inherit them. A beneficiary, like a surviving co-owner, has three options: have it reissued in their name, with a co-owner, or with a POD beneficiary.
Is it possible to add a beneficiary to I bonds?
On a bond, you can have a second owner or a beneficiary, but not both at the same time. A person, not a trust, must be the bond’s second owner or beneficiary. You have complete control over the arrangement as the primary owner of the I Bonds. At any moment, you can add or remove a beneficiary or a second owner.
Are there any beneficiaries to my bonds?
There is only one owner listed. Only that person is allowed to conduct business. The bond becomes part of his or her inheritance if he or she dies.
This is referred to as exclusive ownership in the case of electronic bonds.
Single ownership for paper bonds.
Transactions can only be made by the owner.
If he or she passes away, the beneficiary becomes the sole owner of the property.
An entity cannot be the beneficiary.
Although each owner may cash without the other’s knowledge or agreement, most other transactions require both owners’ signatures.
Is it possible to convert EE bonds?
- What are the benefits of trading my paper bonds in TreasuryDirect for electronic securities?
- I have bonds that I am entitled to, but they do not bear my name.
- Is it possible for me to exchange these?
- Will my bond be automatically redeemed and the interest earned reported if it matures after I trade it?
- What happens if I convert a paper bond that is registered solely in my name, as a co-owner, or as a co-owner with a beneficiary?
- Is it possible for me to show or cash my converted bonds to another TreasuryDirect account holder?
- What happens if I exchange a paper bond in the name of someone else, including a minor?
- Will the issue date of my electronic securities match the issue date of the paper bonds I submit?
- Will the interest rate on my electronic securities be the same as on my paper bonds?
- Will the maturity period of my electronic securities be the same as that of my paper bonds?
- Is the minimum holding period for electronic securities the same as it is for paper bonds?
What is the SmartExchange conversion feature within TreasuryDirect?
Holders of paper Series E, EE, or I savings bonds can trade them in for electronic securities of the same series and issue dates in a special Conversion Linked Account within their TreasuryDirect online account using the SmartExchange function.
TreasuryDirect accounts allow owners to buy, sell, and redeem Treasury securities electronically, 24 hours a day, seven days a week, using a secure Internet connection with the Treasury Department.
TreasuryDirect sells Series EE and I savings bonds, as well as Treasury bills, notes, bonds, and inflation-protected securities.
Who can exchange their paper savings bonds for electronic securities?
Any owner of a TreasuryDirect account, whether they are the sole owner, a co-owner, or an owner with a beneficiary. Owners of accounts can also trade paper bonds received as gifts for others, as well as bonds acquired through inheritance or other changes in ownership.
Account Managers for certain entities, such as trusts, estates, and businesses, can open TreasuryDirect accounts and convert bonds. See Entity Accounts are a type of account that is used to track the assets of a company. The registration of all securities in an entity account is the same as the entity account name. Documentary evidence may be required to support the transaction if the submitted bonds are not registered in the entity’s name.
What are the advantages to trading my paper bonds for electronic securities in TreasuryDirect?
Owners of electronic securities have more freedom and convenience than those who own paper securities. Consider the following scenario:
- Electronic bonds can be redeemed in full or in part at any time – 24 hours a day, 7 days a week and the funds put into the owner’s savings or checking account. On the next working day, the cash should be available. There is no need to visit a financial institution, and there are no limits on how many bonds or how much money can be redeemed at any given time if the basic conditions are completed.
- At any time, you can see your online holdings and their current valuations.
- There is no paper that can be lost or damaged by accident.
- Owners of accounts can modify the registration of their bonds at any moment or transfer the securities to another account (some ownership restrictions apply; transfers may result in a taxable event).
What bonds can I exchange?
You can convert Series E, EE, and I paper bonds that you possess alone, with a co-owner, or with a beneficiary. You can also convert paper bonds that you’ve received as a gift for someone else or that you’ve inherited or acquired through another means of ownership change.
Can I trade in matured bonds?
Yes, if you submit a matured bond, TreasuryDirect will automatically redeem the bond and deposit the funds in your Primary Account as a Zero-Percent Certificate of Indebtedness. You can utilize all or portion of the proceeds to buy additional securities or redeem the C of I for cash in your bank account. For the tax year in which the bond is redeemed or matures, the interest earned on it must be reported to the IRS.
Can I trade in bonds I’ve bought as gifts?
Yes, you can exchange bonds that you received as a gift. Any bond you’ve purchased in someone else’s name is considered a gift. The bonds are deposited in your Conversion Linked Account Gift Box once they have been converted. In an entity account, gift bonds are not available.
What happens to gift bonds I exchange that are matured?
Gift bonds that have reached their final maturity date are automatically redeemed by TreasuryDirect. Each bond redemption will be listed in your Conversion Linked Account Gift Box “matured gift profits” under the owner’s name. Similarly, if a converted gift security expires before you send it to the recipient, TreasuryDirect automatically redeems it and records a notation in the recipient’s account “proceeds from a matured gift.” From the Conversion Linked Account Gift Box, you can deliver the money to the owner. You’ll need the owner’s TreasuryDirect account number to deliver the funds.
Before you can give savings bonds as gifts, you must keep them in your TreasuryDirect account for at least five working days. Treasury is protected against loss by the five-day hold, which ensures that the ACH debit has been performed satisfactorily before the cash can be moved.
When you deliver gift money, the interest earned is reportable for that year under the recipient’s Social Security number. In entity accounts, gift bonds are not available.
I have bonds that I’m entitled to but my name isn’t on them.Can I exchange these?
Yes, you can trade in the bonds; however, you may need to provide proof of your transaction. After we get the bonds, we will contact you and give you the necessary information to finalize the transaction. In some cases, more processing time may be necessary.
When can I begin converting my bonds?
As soon as you create your Conversion Linked Account, you can start converting your savings bonds. To create the Conversion Linked Account, follow these steps:
- Navigate to ManageDirect and select “Establish a Conversion Linked Account” from the “Manage My Linked Accounts” menu. When you click on that link, you’ll be sent to a website with some information as well as a button.
- To create your Conversion Linked Account, click the icon. The Account Info page for that account will appear after you do so.
- Select the ManageDirect tab from the drop-down menu. A menu labeled ManageDirect can be found on the ManageDirect page “I’m in charge of my conversions.”
- Make a click on the “How to Convert My Paper Bonds” is a link that will show you how to convert your paper bonds. This page offers detailed instructions that will walk you through the entire procedure. We recommend printing this page so you can refer to it when you’re getting started.
Gather your Series E, EE, and I savings bonds and sort them according to their titles and connectors (“OR,” “POD,” or “beneficiary”). Grouping your bonds by registration will make the process of entering the bonds you want to convert much easier.
If you need to access your Conversion Linked Account at a later time, go to your principal Account Summary page and look for “My Converted Bonds” in the account listing under “Linked Accounts Information.”
When I trade in my bonds, will the interest earned be reported to the IRS?
No, the interest received on your bonds will not be reported to the IRS at the time of conversion if they have not reached maturity.
If my bond matures after I exchange it, will it be automatically redeemed and the interest earned reported?
Yes, unless you have arranged a redemption, TreasuryDirect automatically redeems your bond at maturity and acquires a Zero-Percent Certificate of Indebtedness with the proceeds once it is in electronic form. For that tax year, the interest collected on the security is reported to the IRS.
Should I sign the request for payment on the back of the bonds?
Please do not autograph your savings bonds on the back. We can convert the bonds because of your signature on the conversion manifest.
Is My Converted Bonds and Conversion Linked Account the same thing?
Yes. TreasuryDirect has assigned your Conversion Linked Account the name My Converted Bonds. You can change the name of your Conversion Linked Account by going to the Account Info tab, clicking “Edit,” and then entering a new name in the Personalized Account Name field.
What happens when I convert a paper bond registered in my name alone, as co-owner, or as owner with a beneficiary?
When the exchange is accepted in individual accounts, a security registered in the same way as a paper bond is released to Current Holdings in your Conversion Linked Account. All securities in entity accounts have the same registration as the entity account name.
What transactions can I conduct with the securities I trade in?
With two exclusions, you can engage in any electronic securities transaction. For a while,
A transaction to remove the name of a security registered in the names of two people as co-owners.
Because the consent of the other co-owner is required, it must be done offline.
by means of us Similarly, deleting the name of a Series E security’s intended recipient necessitates
As a result, we must handle that individual’s consent offline.
Can I let another TreasuryDirect account holder see or cash my converted bonds?
You can provide View and Transact permissions in TreasuryDirect. If you have the security registered in your name,
You can grant and remove View permissions to another TreasuryDirect account owner based on their name alone.
A security that is registered to you as the owner and has a beneficiary allows you to give and withdraw permissions at any time.
Only the chosen beneficiary has access to the information. If, on the other hand, it’s a Series E security with a
You can only grant View privileges to the selected beneficiary, and once granted, you can’t take them away.
The rights cannot be revoked. Similarly, you can give a co-owner of a property View and Transact rights.
You can’t reverse these powers after they’ve been granted. Registration as a co-owner
securities that have been given View rights can be changed to grant Transact rights, but not the other way around.
View. In entity accounts, View and Transactrights are not available.
What happens when I exchange a paper bond registered in the name of another person, including a
minor?
When the exchange is approved, the person receives a security that is registered in his or her name.
Gift Box in your Conversion Linked Account (whatever bond you’ve purchased in someone qualifies).
a gift under someone else’s name). If the electronic security contains the person’s Social Security Number,
You can send it to the recipient’s TreasuryDirect account online if you’re the owner.
We will assist you offline if the security does not bear the owner’s Social Security Number.
Prior to delivery, fill out the registration form. In entity accounts, gift bonds are not available.
How do I deliver a converted gift security?
The receiver must have a TreasuryDirect account in order to receive a converted gift security. If the converted gift security bears the owner’s Social Security Number, you can deliver it to the recipient’s TreasuryDirect account online by selecting it from the Conversion Linked Account Gift Box and following the delivery instructions.
Will my electronic securities have the same issue date as the paper bonds I turn in?
Yes, each electronic security will have the same issue date as the paper bond you provided, as well as the same current redemption value.
Will my electronic securities earn the same rate of interest as my paper bonds?
Yes, based on the series and issuance date, paper bonds and electronic securities earn the same rate of interest.
Will my electronic securities have the same maturity period as my paper bonds?
Yes, based on the series and issue date, paper bonds and electronic securities have the same maturity time.
Is the minimum holding period the same on electronic securities as paper bonds?
Yes, electronic securities and paper bonds have the same minimum holding term. The current minimum holding period is one year.
How do I redeem my bonds after they are exchanged?
Via the same way that you request redemption of an electronic security purchased in TreasuryDirect, you can schedule a complete or partial redemption through your TreasuryDirect account.
In TreasuryDirect, what do the “Amount and “Current Value columns show?
The figure in the “The “Amount” column shows how much you paid for a bond. (This isn’t the bond’s face value if you converted a series EE bond from paper to electronic.) If you bought a $100 Series EE savings bond in paper form, for example, you would have paid $50. The “Amount” column in TreasuryDirect will show “$50” if you swap it for an electronic bond in a TreasuryDirect account.) The figure in the “The “Current Value” column displays the bond’s current value, which is comprised of the purchase price plus accumulated interest.
What happens if a savings bond is lost?
You can obtain a replacement electronic savings bond if your paper bond is lost, stolen, destroyed, disfigured, or you never received it. Individual savings bonds are not splittable and must be reissued in their entirety. You can request that your bond be redeemed instead of replacing it electronically.